Thomson Reuters
UPDATE 2-Sikorsky head calls Bell combination 'interesting'
03.12.09, 07:11 PM EDT
By Scott Malone
NEW YORK, March 12 (Reuters) - The head of United Technologies Corp's Sikorsky helicopter unit told an investor meeting on Thursday a combination with Textron Inc's Bell helicopter unit would be 'an interesting hypothesis.'
But his boss, United Tech's chief executive, would not go so far as to say the diversified U.S. manufacturer was pursuing that business.
'We'll see what the market brings to us,' CEO Louis Chenevert told reporters. 'We always have our eyes on the properties that are core to us.'
When asked about the possibility of such a deal, Jeffrey Pino, who serves as president of Sikorsky, had said the mix of products between the two businesses could be appealing.
'It's an interesting hypothesis; why don't we just go with that? We study all competitors in terms of what would a consolidation look like,' Pino said.
A spokesman for Textron was not able to provide immediate comment.
United Tech officials said the company aims to do about $2 billion in takeovers this year and repeated that they would be aggressive in pursuing opportunities in a down economy.
Providence, Rhode Island-based Textron last month slashed its dividend 91 percent as it moves to save money in the face of a severe economic downturn that has pounded its finance arm.
On Feb. 10, Textron Chief Executive Lewis Campbell told an investor meeting he would consider selling one of the company's core business units if it needed to do so to protect cash flow, although he argued it was unlikely it would need to make such a drastic move.
'We probably won't have to think about selling any of our core assets. But notice I use the word 'probably,'' Campbell said last month.